If Businesses Reduce Their Inventories in the First Quarter, the Economy Will ShrinkComments for If Businesses Reduce Their Inventories in the First Quarter, the Economy Will Shrink at http://www.cepr.net , comment 1 to 3 out of 3 commentshttp://www.cepr.net
Tue, 03 Mar 2015 14:24:11 +0100FeedCreator 1.7.3correction http://www.cepr.net/index.php/blogs/beat-the-press/if-businesses-reduce-their-inventories-in-the-first-quarter-the-economy-will-shrink#comment-29253
"Firms added inventories at a record $127.2 billion (in 2009 dollars) annual rate in the fourth quarter of [b]2014[/b]."
That should be [b]2013[/b] - GarySat, 01 Feb 2014 04:50:27 +0100...http://www.cepr.net/index.php/blogs/beat-the-press/if-businesses-reduce-their-inventories-in-the-first-quarter-the-economy-will-shrink#comment-29240
In terms of percent change the last quarter was not close to a record, though maybe a little above average for an expansion period. Nothing extraordinary about it one way or another and no basis for sweeping predictions about GDP, just another number consistent with a recovery.
- skeptonomistFri, 31 Jan 2014 05:23:06 +0100...http://www.cepr.net/index.php/blogs/beat-the-press/if-businesses-reduce-their-inventories-in-the-first-quarter-the-economy-will-shrink#comment-29239
Good point, thanks for the clarification.
Why do total inventories always grow, though? Is that to keep up with general growth of the population and consumption? - David MFri, 31 Jan 2014 05:01:57 +0100